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Here's what investors are watching on Wednesday, April 16.
Nvidia (NVDA) shares fall after a filing showed that new US restrictions on exports to China will cost the company roughly $5.5 billion. ASML (ASML) stock is under pressure after reporting its orders fell short of expectations amid tariff uncertainty.
US Treasury Secretary Scott Bessent tells Yahoo Finance that there will likely be "substantial clarity" on tariffs by the time Trump's 90-day deadline is reached. China signaled it is open to tariff talks with the US if the Trump administration is respectful and names a point person, according to Bloomberg.
United Airlines (UAL) provides investors with a dual outlook based on whether the US economy sees a recession.
To watch more expert insights and analysis on the latest market action, check out more Morning Brief here.
So let's get to the three things that you need to know this morning.
First up, Nvidia shares falling this morning after the company warned of a five and a half billion dollar hit from the Trump administration's ban on selling its H20 chip in China. The government informed Nvidia on Monday and cited concerns that the technology could be used in Chinese supercomputers. Meanwhile, chip equipment maker ASML falling today after warning on the potential impact of tariffs and as the company reports weak bookings. Shares of tech companies weighing on the broader market amid the news this morning.
Plus on the trade front, Treasury Secretary Scott Besant telling Yahoo Finance that within 90 days there will be substantial clarity on tariffs.
In 90 days, are we going to have a complete a formal legal document, done and dusted? Not likely, but I think if we follow the process, we could have substantial clarity on those 14 away from China in terms of agreements in principle.
Meanwhile, China wants to see a number of steps from President Donald Trump's administration before it will agree to trade talks according to Bloomberg. China is signaling it's willing to talk with the US after President Donald Trump called on China to reach out to him in order to kick off negotiations.
And United Airlines offering dual forecast and its latest earnings print. The airline laying out two possible scenarios for 2025, saying its outlook does look achievable, but says a recession could nearly half its profit forecast. United stock had it tumbled about 32% this year through Monday's close, more than triple the drop in the S&P 500 in the same period.
